Unlocking Value in Mineral Assets. C o r p o r a t e P r e s e n t a t i o n - N o v e m b e r

Transcription

1 Unlocking Value in Mineral Assets C o r p o r a t e P r e s e n t a t i o n - N o v e m b e r

2 Forward Looking Statements This presentation includes statements containing forward-looking information about Monument, its business and future plans ( forward-looking statements ). Forward-looking statements are statements that involve expectations, plans, objectives or future events that are not historical facts and include the Company s plans with respect to its mineral projects and the timing and results of proposed programs and events referred to in this presentation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". The forward-looking statements in this presentation are subject to various risks, uncertainties and other factors that could cause actual results or achievements to differ materially from those expressed or implied by the forward-looking statements. These risks and certain other factors include, without limitation: risks related to general business, economic, competitive, geopolitical and social uncertainties; uncertainties regarding the results of current exploration activities; uncertainties in the progress and timing of development activities; foreign operations risks; other risks inherent in the mining industry and other risks described in the management discussion and analysis of the Company and the technical reports on the Company s projects, all of which are available under the profile of the Company on SEDAR at Material factors and assumptions used to develop forward-looking statements in this presentation include: expectations regarding the estimated cash cost per ounce of gold production and the estimated cash flows which may be generated from the operations, general economic factors and other factors that may be beyond the control of Monument; assumptions and expectations regarding the results of exploration on the Company s projects; assumptions regarding the future price of gold of other minerals; the timing and amount of estimated future production; the expected timing and results of development and exploration activities; costs of future activities; capital and operating expenditures; success of exploration activities; mining or processing issues; exchange rates; and all of the factors and assumptions described in the management discussion and analysis of the Company and the technical reports on the Company s projects, all of which are available under the profile of the Company on SEDAR at Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forwardlooking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements, except in accordance with applicable securities laws. 2

3 Monument- At-A-Glance Selinsing Gold Portfolio 150 km² 282Koz Au PRODUCED Murchison Gold Portfolio 259 km² Mengapur Copper-Iron Portfolio 9 km² 3

4 Why Own Monument? 4

5 Investment Highlights Gold producer, developer, explorer and acquirer - $254.3 million mineral property portfolio in Malaysia and Western Australia Selinsing Gold Mine in Malaysia - 9 years in production for 282,105 ounces with $377.9 million revenue and cash cost of $470/oz to the end of fiscal Mineral Resources of 764Koz including Mineral Reserves of 279koz Au at 1.4 g/t, $23 million NPV* - Exploration potential over 1Moz Murchison Gold Portfolio in Western Australia - Completing a scoping study to assess underground opportunities and strategize Burnakura production for secondary cash flow generation - 381Koz Au NI Mineral Resources with 293Koz Indicated, 88Koz Au Inferred** - Exploration potential over 1Moz for multiple surface and underground mines Mengapur Copper-Iron Project in Malaysia 5 - Long term potential with economic scale, application for 10 years tax holiday - New NI Mineral Resource Estimation Technical Report (October 2018)*** * NI technical report produced by Snowden Mining Industry Consultants Pty Ltd Sedar filed in December 2016 ** NI technical report produced by SRK Consulting (Australasia) Pty Ltd Sedar filed in July 2018 ***NI technical report produced by Snowden Mining Industry Consultants Pty Ltd Sedar filed October 2018

6 Growth Focus with Strong Balance Sheet Based on Audited Balance Sheet to June 30, 2018 Balance Sheet (in thousands of US dollars) June 30, 2018 June 30, 2017 June 30, 2016 $ $ $ Current assets 33,935 29,419 34,576 Non-current assets 220, , ,478 Total assets 254, , ,054 Current liabilities 6,831 4,970 6,238 Non-current liabilities 19,710 12,773 14,205 Equity attributable to shareholders 227, , ,611 Total liabilities and shareholders' equity 254, , ,054 Working Working capital (including restricted cash) Capital 27,104 24,449 28,338 $27.1 M 6

7 Management Team Robert Baldock Executive Chairman Cathy Zhai President & CEO Zaidi Harun VP, Business Development Matthew Antill General Manager, Operations Neil Rauert Senior Project Manager, Technical Support Charlie Northfield General Manager, Selinsing Gold Mine Roger Stangler Chief Managing Geologist Kelvin Lee CFO, VP, Finance & Administration 7

8 2019 Objectives The aim for fiscal 2019 is to unlock value in our development assets by progressing from studies into financing, construction, and then production Selinsing Gold Mine in Malaysia - Complete the Sulphide Project Feasibility Study, deliver an execution plan for project financing and commencement of construction Murchison Gold Portfolio in Western Australia - Complete a scoping study to assess underground opportunities and strategize Burnakura production for secondary cash flow generation Mengapur Copper-Iron Project in Malaysia - Complete metallurgical testwork to work towards a feasibility study Our ultimate objective is to build on our current gold assets through acquisitions and return value to our shareholders 8

9 Selinsing Success Story Acquired Tenements in June 2007 Started Selinsing Gold Mine commercial production in September Upgraded mill capacity to 1 million tpa in August 2012 Replaced more than 100% of the gold inventory in December Identified BIOX as the optimum solution to treat gold sulphides in 2017 Cash costs (project to June, ) $470 per ounce Produced 282koz of gold (project to June, ) at Selinsing Gold Mine, US$378 million gross revenue Defined upside potential exploration targets for both open pit and underground opportunities

10 Selinsing Gold Mine in Malaysia Located at Bukit Selinsing, 160 km north of Kuala Lumpur, the Capital of Malaysia. Covering 150 km² on Peninsular Malaysia Gold Belts containing multiple mining centres. Aggregation of 4 major projects of: Selinsing Felda Land Block 7 Buffalo Reef Famehub 1.00 million tpa CIL processing plant and associated infrastructure located at Selinsing Exploration Potential to all directions and underground opportunities 10

11 Selinsing Reserves Fully replaced GOLD inventory for 6 years life of mine Selinsing/Buffalo Reef/Block 7 (NI , Snowden Dec. 2016) Category OXIDE (above approx. 0.3 g/t Au cut-off) Table 1: Selinsing-Buffalo Reef/Felda Reserves as of June 30, 2016 (Snowden) 279 KOZ GOLD TRANSITION (above approx. 0.7 g/t Au cut-off) SULPHIDE (above approx. 0.7 g/t Au cut-off) OXIDE + TRANSITION + SULPHIDE ktonnes g/t Au (koz) ktonnes g/t Au (koz) ktonnes g/t Au (koz) ktonnes g/t Au (koz) Mineral Reserves (based on a US$1,255/oz gold price) Proven* 2, , Probable , , P+P 2, , , *Proven Reserve is entirely stockpile material; Probable Reserve comprises in situ material occurring in Selinsing and Buffalo Reef/Felda deposits 11 NI Technical Report: Selinsing Gold Mine and Buffalo Reef Project, Malaysia, filed on December 14, 2016 prepared in independent consultants Snowden Mining Industry Consultants Pty. Ltd

12 Selinsing Resources Selinsing/Buffalo Reef/Block 7 (NI , Snowden Dec. 2016) Table 2: Selinsing-Buffalo Reef/Felda Resources as of June 30, 2016 (Snowden) 764 KOZ GOLD Category OXIDE (above 0.3 g/t Au cutoff) TRANSITION (above 0.7 g/t Au cut-off) SULPHIDE (above 0.7 g/t Au cut-off) OXIDE + TRANSITION + SULPHIDE ktonnes g/t Au (koz) ktonnes g/t Au (koz) ktonnes g/t Au (koz) ktonnes g/t Au (koz) Mineral Resources, reported inclusive of Reserves (based on a US$1,776/oz gold price) Measured* 2, , Indicated , , M+I 2, , , Inferred , , *Measured Resource is entirely stockpile material; Indicated and Inferred Resource comprises in situ material occurring in Selinsing and Buffalo Reef/Felda deposits 12 NI Technical Report: Selinsing Gold Mine and Buffalo Reef Project, Malaysia, filed on December 14, 2016 prepared in independent consultants Snowden Mining Industry Consultants Pty. Ltd

13 Selinsing Financial Results Based on Audited Financial Statements to June 30, 2018 Growth focused Expenditure for NEW GOLD: Fiscal year Project to Date Selinsing_Buffalo Reef_Felda (in US$ 000s) Acquisition in cash 15, ,614 17,234 Buildings, plant and equipment ,898 8,257 2,093 7,395 1, ,499 1,342 1,410 34,492 Mine development ,270-3, ,861 2, ,439 14,075 Exploration - 2,479 1, ,229 3,705 6,111 3,835 4,250 3,008 1,311 1,061 30,694 Result: Selinsing Reserves Fully replaced in Fiscal

14 Selinsing NI PFS December 2016 Economic model after taxation at gold price US$1,255 per ounce Item Unit Value at $1,255 /oz Au Net cash flow $ M 37.2 NPV8 $ M 23.1 IRR % 34.8 Economic model before taxation Item Unit Value at $1,255 /oz Au Net cash flow $ M 47.7 NPV8 $ M 31.4 IRR % 43.5 Selinsing Project economic model inputs Item Unit Value Life of Project production years 6.74 LOM ore mined kt 3,990 LOM ore processed kt 6,252 LOM waste mined kt 32,864 LOM average Au grade g/t Au 1.10 LOM average Au recovery % 79.0 LOM recovered ounces koz 227 Plant throughput Mt/a 0.95 LOM Au price $/oz Cash flow sensitivity graph 14 All information is extracted from the Prefeasibility Study-NI Technical Report: Selinsing Gold Mine and Buffalo Reef Project, Malaysia, filed on December 14, 2016 prepared in independent consultants Snowden Mining Industry Consultants Pty. Ltd

15 Selinsing Gold Processing Plant UPGRADED EXISTING The Outotec BIOX Process is for the treatment of refractory gold concentrates and has been in commercial operation for 30 years with 13 successful BIOX plants commissioned worldwide. To date, over 22 million ounces of gold have been produced through BIOX. Selinsing batch testwork programme results reported by Outotec showed that over 90% sulphide oxidation occurred after 9 days, 98% after 15 days and 99% after the full 24 days. 15

16 Selinsing Oxide Exploration Peranggih 10km North of Selinsing Peranggih Buffalo Reef Selinsing Peranggih Completed drilling program at Peranggih in 2018 High grade gold zone confirmed Follow-up with bulk sample testwork program and further exploration works 16 Highlight of the Best Intercepts at Peranggih *all holes dipping 60 degrees to Azimuth 270 degrees HOLE ID* From(m) To (m) Drilled Width (m) ~True Width (m) Au g/t PGDD PGDD PGDD PGRC PGRC

17 17 Selinsing Geology

18 Selinsing Sulphide Exploration 18 Selinsing long-term exploration potential is on Sulphide Resources Large Underground potential Underground mine design in progress for Pit 4 deeps Large potential extension to the south where favourable host rock interacts with Steep dipping shears Ready to be drill tested

19 Murchison Operation in Western Australia Located 40km southeast of Meekatharra within the highly endowed Murchison Gold province of Western Australia Coverage of 32km of strike on greenstone sequences prospective for gold 258.8km² for 3 projects with multiple pits, trucking distance to the Burnakura Gold Plant: Burnakura (144.1km²) Tuckanarra (63.7km²) Gabanintha (50.9km²) 260,000 tpa CIL processing plant and operational camp upgraded for early production Exploration Potential with both open pit and underground opportunities 19

20 Burnakura Resources Total JORC historical (at time of acquisitions): NI reported (July 2018): Burnakura Property NI Resources Deposit NOA1-6 ANA Authaal Federal City Category Lower cut-off (Au g/t) Tonnes (Kt) Au (g/t) Gold (Koz) Indicated 0.5 1, Inferred Indicated 0.5 2, Inferred Indicated Inferred Indicated Inferred TOTAL* Indicated 0.5 3, NOA7-8** GRAND-TOTAL Updated Mineral Resources, Burnakura Gold Project (SRK, July 2018) Inferred 0.5 1, Indicated Inferred Indicated 4, Inferred 1, (1) Small discrepancies may occur due to rounding. (2) All Mineral Resources have been reported on a dry tonnage basis. (3) SRK is unaware of any issues that materially affect the Mineral Resources in a detrimental sense. (4) Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. (5) Mineral Resources estimated by David Slater (Principal Consultant, SRK), QP. (6) *Open pit Resources (NOA1-6, ANA, Authaal, Federal City) are constrained in a Lerchs Grossman pit shell, **Underground Resources (NOA7-8) are constrained to >3g/t and 200m vertical depth. 644Koz 381Koz Updated NI at Burnakura shows increases in both Indicated and Inferred Mineral Resources JORC Historical Resources Tonnes (kt) Indicated Grade (g/t) Gold (koz) Tonnes (kt) Inferred Grade (g/t) Gold (koz) 20 NI Technical Report: Updated Mineral Resources, Burnakura Gold Project, Western Australia, Australia, filed on July 18, 2018 prepared by independent consultants, SRK Consulting (Australasia) Pty Ltd. JORC Murchison Historical Resources (1) 3, , Historical Resources are resources at time of acquisition. They are reported to 1g/ and were not prepared in accordance with National Instrument ( NI ) and have not been verified by a Qualified Person

21 Burnakura Mine Site 21

22 Murchison Gold Area Continuing Study Delivering a Preliminary Economic Assessment Report under NI standards Providing a long term economic scope of the Burnakura project Potential to grow overall gold inventory from both open pit and underground sources Monument has identified significant regional exploration upside at the Burnakura gold project through identification of several prospective untested shear structures. These untested structures are in a similar geological setting to the already established mineralization trends, and therefore present good potential to host a new discovery. The Burnakura mineral field is a highly fertile gold district with no significant greenfield exploration drilling in the last 20 years. 22

23 Murchison Production History Burnakura produced >250,000 ounces since discovery from 15 open pits and underground workings Tuckanarra produced >130,000 ounces since discovery from the Cable, Bollard, Maybelle and Bottle Dump pits and historical underground workings Gabanintha produced >160,000 ounces since discovery from the Terrells, Canterbury, Yagahong and Tumblegum pits 23

24 Nuggets Discovered at Murchison Tenements Nugget Discovery (Tuckanarra) 24

25 Murchison High Grade Underground Results Coarse gold is visible in the centre and left hand side of the core sample. Enlarging this image shows that the coarse patches of gold consist of fine-grained disseminations. Pyrite on the right third of the photo has a duller color. Drill hole 8NOAD012, 141.2m. Interval to141.5m assayed 529g/t gold 25

26 Murchison Geology Gold mineralization within the Murchison Domain is typically related to major faults and shear zones within the greenstone belts and preferentially associated with banded iron-formation, and ultramafic and mafic rocks of the lower part of the stratigraphic succession 26

27 Burnakura Underground Exploration Burnakura on average has been tested to 100m depth. Similar projects in the area have proven deeper mineralization: Westgold Reedys: 500m + Westgold Paddys Flat: 600m + Monument plans to test the underground depth extensions to 500m with upcoming deep drilling programs 27

28 Burnakura Exploration Targets NOA Trend Deep Potential for direct extensions of known mineralization Potential for Repeats of controlling shallow north plunging structures Open at depth only been tested down to 200m NOA 9 NOA 9 target identified through regional aeromagnetic interpretation Prospective NNW trending structure-mapped which is known to control the mineralization Geological setting is identical to the already proven NOA line of mineralization-hosts >300koz 28 Alliance Deeps Simple tabular high grade vein, continuous and predictable Narrow vein Underground internal mining study underway

29 Tuckanarra Historical Resources and Opportunities 80,200oz Historical Resource Historical pit optimizations completed Several historical Underground workings not yet tested 29

30 Gabanintha Historical Resources Gabanintha has a total historical resource of 153,000oz Historical pit optimization studies indicated 63,000oz as mineable Within 40 km trucking distance to the Burnakura gold plant 30

31 31 Mengapur Copper-Iron Project

32 Mengapur Mineral Resource Estimate Mengapur August 2018 Mineral Resource estimate (0.3% Cu lower cut-off) Indicated Mineral Resource Material type Tonnes Mt Cu % Au g/t Ag g/t Contained Cu t Contained Au oz Contained Ag oz Oxide ,300 34,000 1,960,000 Transitional ,800 47,000 3,060,000 Fresh , ,000 3,400,000 Total Indicated , ,000 8,380,000 Inferred Mineral Resource Type Tonnes Mt Cu % Au g/t Ag g/t Contained Cu t Contained Au oz Contained Ag oz Oxide ,600 29,900 9,520,000 Transitional ,000 38,600 6,560,000 Fresh , ,300 5,190,000 Total Inferred , ,000 21,270, (1) Small discrepancies may occur due to rounding. (2) All Mineral Resources have been reported on a dry tonnage basis. (3) Snowden is unaware of any issues that materially affect the Mineral Resources in a detrimental sense. (4) Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. (5) Mineral Resources estimated by John Graindorge (Principal Consultant, Snowden), QP. (6) The majority of the interpreted mineralization is within 200m of the surface and as such considered by Snowden to be within the limits of extraction by open-pit mining. NI Technical Report: Mineral Resource Estimate, Mengapur Cu-Au Deposit, Malaysia, filed on October 29, 2018 prepared by independent consultants Snowden Mining Industry Consultants Pty. Ltd The 0.3% Cu cut-off grade represents an assumption of a bulk open-pit mining approach with limited selectivity Further study is required to assess mining and processing options, along with costs

33 Capital Structure Listed on TSX Venture Listed on Frankfurt Market capitalization Issued Shares RSUs Fully Diluted Symbol: MMY Symbol: D7Q1 C$21.1 million million 19.4 million million 52 week trading range $ $0.09 Recent Price (October 29,2018) $

34 Community & Government Support We contribute to the economic stimulus of the local community and the state government of Pahang state in Malaysia Our Social Responsibility programs aim to develop the community in a sustainable way and support the cultural and socio-economic development of the local community The surrounding community and Pahang State government have supported our development and sustainable growth since the beginning 34

35 Investor Relations Contacts Richard Cushing Wolfgang Seybold Monument Mining Ltd. AXINO GmbH T: x102 T: